(FHB) 2022 Q3 法說會逐字稿

Good day, and thank you for standing by. Welcome to the First Hawaiian, Inc. Q3 2022 Earnings Conference Call. (Operator Instructions) Please be advised that today's conference is being recorded. I would now like to hand the conference over to Kevin Haseyama, Investor Relations Manager. Please go ahead.

美好的一天，謝謝你的支持。歡迎來到 First Hawaiian, Inc. 2022 年第三季度收益電話會議。 （操作員說明）請注意，今天的會議正在錄製中。我現在想將會議交給投資者關係經理 Kevin Haseyama。請繼續。

Thank you, Tanya, and thank you, everyone, for joining us as we review our financial results for the third quarter of 2022. With me today are Bob Harrison, Chairman, President and CEO; Ralph Mesick, Chief Risk Officer and Interim CFO, and other members from the management team.

謝謝 Tanya，也感謝大家加入我們，回顧我們 2022 年第三季度的財務業績。今天和我在一起的是董事長、總裁兼首席執行官 Bob Harrison；首席風險官兼臨時首席財務官 Ralph Mesick 以及管理團隊的其他成員。

We have prepared a slide presentation that we will refer to in our remarks today. The presentation is available for downloading and viewing on our website at fhb.com in the Investor Relations section.

我們準備了一張幻燈片演示文稿，我們將在今天的發言中提及。該演示文稿可在我們網站 fhb.com 的投資者關係部分下載和查看。

During today's call, we will be making forward-looking statements. So please refer to Slide 1 for our safe harbor statement. We may also discuss certain non-GAAP financial measures. The appendix to this presentation contains reconciliations of these non-GAAP financial measurements to the most directly comparable GAAP measurements.

在今天的電話會議中，我們將發表前瞻性聲明。因此，請參閱幻燈片 1 了解我們的安全港聲明。我們也可能會討論某些非 GAAP 財務措施。本演示文稿的附錄包含這些非 GAAP 財務衡量指標與最直接可比的 GAAP 衡量指標的調節。

And now I'll turn the call over to Bob.

現在我會把電話轉給鮑勃。

Thank you, Kevin. Good morning, everyone. I'll start with a brief update on the local economy. Hawaii economy continues to be resilient. In September, the statewide unemployment rate fell to 3.5%, which is in line with the national unemployment rate. Total visitor arrivals were 703,000 in September of this year, which is 4.5% lower than September 2019 arrivals. This is a strong result considering the Japanese visitor arrivals were 3.4% of the total this year compared to 19.6% of the total in September 2019. Japanese visitor arrivals represent a significant upside when they return to more normalized levels.

謝謝你，凱文。大家，早安。我將從簡要介紹當地經濟情況開始。夏威夷經濟繼續保持彈性。 9月，全州失業率降至3.5%，與全國失業率持平。今年 9 月的入境游客總數為 703,000 人次，比 2019 年 9 月的入境人數減少 4.5%。考慮到今年日本入境游客人數佔總人數的 3.4%，而 2019 年 9 月占總人數的 19.6%，這是一個很好的結果。當日本遊客人數恢復到更正常的水平時，代表著顯著的上升空間。

Despite the lower number of arrivals, visitor spend in September was $1.48 billion, which was 18.5% higher than September 2019. While higher interest rates have caused a slowdown in the housing market, continued demand and lack of supply have kept prices stable. In September, single-family home sales on Oahu were down 34.4% from last year, but the median sales price was $1.1 million, 4.8% higher.

儘管入境人數減少，但 9 月份的遊客消費為 14.8 億美元，比 2019 年 9 月增長 18.5%。雖然較高的利率導致房地產市場放緩，但持續的需求和供應不足使價格保持穩定。 9 月份，瓦胡島的獨戶住宅銷售額比去年下降 34.4%，但銷售價格中位數為 110 萬美元，上漲 4.8%。

Turning to Slide 2 to review our third quarter results. We had a very strong quarter as net income grew to $69 million or $0.54 per share. We continue to benefit from our asset-sensitive loan portfolio and low-cost core deposit base. Our return on average tangible assets was 1.14%, and return on average tangible common equity was 21.53%. The Board maintained the quarterly dividend to $0.26.

轉到幻燈片 2 來回顧我們第三季度的業績。我們有一個非常強勁的季度，淨收入增長到 6900 萬美元或每股 0.54 美元。我們繼續受益於我們的資產敏感貸款組合和低成本核心存款基礎。我們的平均有形資產回報率為 1.14%，平均有形普通股回報率為 21.53%。董事會將季度股息維持在 0.26 美元。

During the quarter, we repurchased approximately 107,000 shares for $2.5 million, and we continue to maintain strong capital levels after dividend payments and share repurchases. The common equity Tier 1 ratio was 11.79% at quarter end and total capital was 12.92%.

本季度，我們以 250 萬美元的價格回購了大約 107,000 股股票，在支付股息和回購股票後，我們繼續保持強勁的資本水平。季度末普通股一級資本比率為 11.79%，總資本為 12.92%。

Turning to Slide 3. The balance sheet continues to be well positioned for the current environment. It remains asset sensitive, with about $5.4 billion or 39% of the loan portfolio repricing within 90 days, and we saw the responsiveness of our loan yield to higher interest rates in the third quarter.

轉到幻燈片 3。資產負債表繼續處於適合當前環境的良好位置。它仍然對資產敏感，約 54 億美元或 39% 的貸款組合在 90 天內重新定價，我們在第三季度看到我們的貸款收益率對更高利率的反應。

We also improved the balance sheet mix in the third quarter as we deployed excess cash and investment securities runoff into higher-yielding loans. The investment portfolio continues to perform well as rates have increased. The duration of the portfolio remains stable at 5.5 years in the third quarter, virtually unchanged from year-end. And cash flows from the portfolio ran about $90 million per month for the third quarter.

我們還改善了第三季度的資產負債表組合，因為我們將多餘的現金和投資證券流出用於高收益貸款。隨著利率上升，投資組合繼續表現良好。第三季度投資組合的久期穩定在 5.5 年，與年底基本持平。第三季度來自投資組合的現金流量每月約為 9000 萬美元。

During the quarter, we reclassified an additional $420 million of securities to held to maturity to reduce the accounting volatility associated with AOCI adjustments. Our liquidity position remains very strong, with a 62% loan deposit ratio, a strong core deposit base and steady cash flows from the investment portfolio.

本季度，我們將另外 4.2 億美元的證券重新分類為持有至到期，以減少與 AOCI 調整相關的會計波動性。我們的流動性狀況仍然非常強勁，存貸比為 62%，擁有強大的核心存款基礎和來自投資組合的穩定現金流。

Turning to Slide 4. Period-end loans and leases were $13.7 billion, an increase of $438 million or 3.3% from the end of Q2. We experienced growth in all portfolios, with the largest increases in CRE and C&I loans. On a year-to-date basis, total loans and leases are up $738 million or 5.7%. Excluding PPP loans, total loans and leases are up $928 million or 7.3%, in line with our full year outlook of mid- to high single-digit growth, which remains unchanged. As expected, a large portion of the increase in the commercial book was on the mainland, where the rebound in loan demand started earlier.

轉到幻燈片 4。期末貸款和租賃為 137 億美元，比第二季度末增加 4.38 億美元或 3.3%。我們在所有投資組合中都經歷了增長，其中 CRE 和 C&I 貸款增幅最大。從年初至今，貸款和租賃總額增加了 7.38 億美元或 5.7%。不包括 PPP 貸款，貸款和租賃總額增加 9.28 億美元或 7.3%，符合我們保持不變的中高個位數增長的全年展望。正如預期的那樣，商業賬簿的大部分增長來自內地，貸款需求的反彈較早開始。

Looking forward, the fourth quarter loan pipeline remains robust, driven primarily by commercial loans in Hawaii and Guam. This should put us at the high end of our original full year loan -- sorry, this should put us at the high end of our original full year loan growth guidance.

展望未來，第四季度的貸款渠道依然強勁，主要受夏威夷和關島商業貸款的推動。這應該使我們處於最初全年貸款的高端——抱歉，這應該使我們處於最初全年貸款增長指導的高端。

Turning to Slide 5. Deposits fell by $510 million or 2.3% to $22.1 billion at quarter end. Approximately $347 million or 2/3 of the decline was attributable to 10 large commercial accounts. Our total deposit costs of 24 basis points in the third quarter, an increase of 16 basis points from the prior quarter. This is primarily due to rate increases on corporate accounts, money market accounts and other high-balance accounts. RAC rates on savings and checking accounts in our market have remained stable so far this cycle.

轉到幻燈片 5。季度末存款下降 5.1 億美元或 2.3% 至 221 億美元。大約 3.47 億美元或下降的 2/3 歸因於 10 個大型商業賬戶。我們第三季度的總存款成本為 24 個基點，比上一季度增加 16 個基點。這主要是由於公司賬戶、貨幣市場賬戶和其他高餘額賬戶的利率上漲。到目前為止，我們市場上儲蓄和支票賬戶的 RAC 利率一直保持穩定。

Our favorable deposit mix with, 42% of deposits and noninterest-bearing accounts, continues to help provide stability to our total deposit cost. We expect continued volatility in deposit balances given the unprecedented growth in deposits we saw during the pandemic as well as rising rates. However, our liquidity levels remain strong, and we have a variety of options to fund loan growth.

我們有利的存款組合，42% 的存款和無息賬戶，繼續幫助穩定我們的總存款成本。鑑於我們在大流行期間看到的存款空前增長以及利率上升，我們預計存款餘額將持續波動。然而，我們的流動性水平依然強勁，我們有多種選擇來為貸款增長提供資金。

Now I'll turn it over to Ralph.

現在我將把它交給拉爾夫。

Thank you, Bob. Turning to Slide 6. Net interest income increased by $17.6 million or 12.1% over the prior quarter to $162.7 million. Excluding the impact of PPP fees and interest, net interest income increased $18.5 million. The increase was primarily due to higher yields on balances of loans, partially offset by higher deposit costs.

謝謝你，鮑勃。轉到幻燈片 6。淨利息收入比上一季度增加 1760 萬美元或 12.1%，達到 1.627 億美元。排除 PPP 費用和利息的影響，淨利息收入增加了 1850 萬美元。增長主要是由於貸款餘額收益率較高，部分被較高的存款成本所抵消。

The net interest margin increased 33 basis points to 2.93%, driven by higher yields on loans, cash and investment securities, partially offset by higher rates on deposits. While we anticipate that deposit cost increases will begin to accelerate in the fourth quarter, the balance sheet remains well positioned to continue to benefit from rising rates, and we expect the margin to increase by 10 to 15 basis points in the fourth quarter.

淨息差增加 33 個基點至 2.93%，這是由於貸款、現金和投資證券的收益率上升，部分被存款利率上升所抵消。雖然我們預計存款成本將在第四季度開始加速增長，但資產負債表仍處於有利地位，可以繼續受益於利率上升，我們預計第四季度利潤率將增加 10 至 15 個基點。

Turning to Slide 7. Noninterest income was $45.9 million this quarter, a $1.7 million increase over the prior quarter. We continue to see improvement in activity-based revenue, including trust and investment services income despite the continued market volatility.

轉到幻燈片 7。本季度非利息收入為 4590 萬美元，比上一季度增加 170 萬美元。儘管市場持續波動，但我們繼續看到基於活動的收入有所改善，包括信託和投資服務收入。

BOLI income was continued to be negatively impacted by higher bond yields and the continued decline in the equity markets. We expect BOLI income to return to historical levels of $3 million to $3.5 million per quarter when the market volatility subsides.

BOLI收入繼續受到債券收益率上升和股市持續下跌的負面影響。當市場波動消退時，我們預計 BOLI 收入將恢復到每季度 300 萬至 350 萬美元的歷史水平。

Expenses were $113.3 million, an increase of $4.2 million from the prior quarter, in line with expectation. The increase was primarily due to higher compensation expenses, a full quarter expenses associated with the new core system and additional post core conversion costs. As we stated last quarter, we believe that expenses will be between $113 million and $114 million in the fourth quarter.

費用為 1.133 億美元，比上一季度增加 420 萬美元，符合預期。增加的主要原因是更高的補償費用、與新核心系統相關的整個季度費用以及額外的後核心轉換成本。正如我們上個季度所述，我們認為第四季度的支出將在 1.13 億美元至 1.14 億美元之間。

Turning to Slide 8. I'll make a few comments on credit. Asset quality continues to be strong. In Q3, the net charge rate -- net charge-offs were $2.8 million. Our year-to-date annualized net charge-off rate is flat at 8 basis points lower than the last three years. NPA and 90-day past due loans were 10 basis points, also flat from the prior quarter. Criticized assets continued to decline dropping from 0.91% of total loans in Q2 to 0.81% in Q3. The bank recorded a $3.2 million provision for the quarter, which included $1.2 million set aside for unfunded exposures.

轉到幻燈片 8。我將發表一些評論。資產質量繼續保持強勁。在第三季度，淨收費率——淨沖銷為 280 萬美元。我們年初至今的年化淨註銷率持平，比過去三年低 8 個基點。 NPA 和 90 天逾期貸款為 10 個基點，也與上一季度持平。受批評資產繼續下降，從第二季度佔貸款總額的 0.91% 下降到第三季度的 0.81%。該銀行在本季度記錄了 320 萬美元的準備金，其中包括為無資金風險敞口預留的 120 萬美元。

Loans 30 to 89 days past due were $46.1 million or 34 basis points of total loans and leases at the end of Q3, about 7 basis points below Q2.

第三季度末逾期 30 至 89 天的貸款為 4610 萬美元，佔貸款和租賃總額的 34 個基點，比第二季度低約 7 個基點。

Moving to Slide 9. You see a roll forward of the allowance for the quarter by disclosure segments. The allowance for credit loss decreased by $0.8 million to $148.2 million. The level equates to 1.08% of all loans. The reserve for unfunded commitments increased $1.2 million to $30.1 million. Reserve needs for loan growth were offset by improvements in the portfolio risk profile this quarter. The allowance anticipates higher credit losses consistent with the recession, and includes a qualitative overlay for potential macroeconomic impacts not captured in our model.

移動到幻燈片 9。您會看到按披露部分向前滾動的季度津貼。信貸損失準備金減少 80 萬美元至 1.482 億美元。該水平相當於所有貸款的 1.08%。未供資承諾準備金增加 120 萬美元至 3010 萬美元。本季度投資組合風險狀況的改善抵消了貸款增長的準備金需求。該備抵預計與經濟衰退一致的更高信貸損失，並包括對我們模型中未捕獲的潛在宏觀經濟影響的定性覆蓋。

Let me now turn the call back to Bob for any closing remarks.

現在讓我將電話轉回給 Bob 以聽取任何結束語。

Thanks, Ralph. To summarize, we expect to finish 2022 with another strong quarter, and our balance sheet is well positioned to perform well in a range of economic outcomes. And finally, you have probably seen the announcement earlier this month of the addition of Mike Fujimoto to the Board of Directors of First Hawaiian, Inc. Mike has served on the bank Board, and we are pleased to extend his expertise to the holding company Board of Directors. And now we're happy to take your questions.

謝謝，拉爾夫。總而言之，我們預計 2022 年將迎來另一個強勁的季度，而且我們的資產負債表處於有利地位，可以在一系列經濟成果中表現良好。最後，您可能已經看到本月早些時候宣布 Mike Fujimoto 加入 First Hawaiian, Inc. 董事會的公告。Mike 曾在銀行董事會任職，我們很高興將他的專業知識擴展到控股公司董事會董事。現在我們很高興回答您的問題。

(Operator Instructions) And our first question comes from Steven Alexopoulos of JPMorgan.

（操作員說明）我們的第一個問題來自摩根大通的 Steven Alexopoulos。

I wanted to start and dive a little bit into the reduction in the noninterest-bearing deposits. Can you give more color on what you saw in the quarter? I know you called out the 10 accounts where customers just moving a portion of balances to higher-yielding alternatives and how much additional runoff should we expect?

我想開始深入探討減少無息存款的問題。你能給你在這個季度看到的更多顏色嗎？我知道您提到了 10 個客戶只是將一部分餘額轉移到收益更高的替代方案的賬戶，我們應該期待多少額外的徑流？

Yes. This is just that's a volatile part of having large corporate customers is somewhat volatile about $100-plus million of that was title companies, which you just can't predict what the balances are going to be at the end of the quarter. We weren't seeing anything -- we didn't lose any accounts. Some of it moved for reasons we're not quite sure of. But it really was not related to anything specific and didn't seem that they were, in particular, moving to higher-yielding accounts.

是的。這只是擁有大型企業客戶的一個不穩定部分，其中大約 100 多萬美元是產權公司，你無法預測到本季度末的餘額會是多少。我們沒有看到任何東西——我們沒有丟失任何帳戶。其中一些因我們不太確定的原因而移動。但這確實與任何具體事情都沒有關係，而且他們似乎也沒有特別轉向收益更高的賬戶。

As an example, the volatility this week, our noninterest-bearing account balances are up a couple of hundred million relative to quarter end. So it's just it's a volatile time for our deposits.

例如，本週的波動性，我們的無息賬戶餘額相對於季度末增加了幾億。所以這只是我們存款的一個動盪時期。

Maybe I'll turn it over to Ralph, if he has some thoughts to add to that.

也許我會把它交給拉爾夫，如果他有一些想法要補充的話。

Sure. Steve, what we saw this quarter, I think, was not unexpected. Some larger accounts with temporary balances moving out. If you back out those balances, the net differential was probably about a 2% to 2.5% annualized decrease. In Q4, we're projecting deposits to be flat to slightly down. And I think the outlook for the NIM expansion would incorporate a range of outcomes that we might expect.

當然。史蒂夫，我認為我們在本季度看到的情況並不意外。一些有臨時餘額的大賬戶搬出。如果你取消這些餘額，淨差異可能是年化下降 2% 到 2.5% 左右。在第四季度，我們預計存款將持平或略有下降。我認為 NIM 擴張的前景將包含我們可能預期的一系列結果。

The midpoint probably approximates a decline that would approximate that net differential that we saw where the higher side would probably represent something with a more stable balance sheet and the low end of the range would probably be indicative of the deposit flows we saw in Q3.

中點可能接近下降，接近我們看到的淨差異，其中較高的一側可能代表資產負債表更穩定，而范圍的低端可能表明我們在第三季度看到的存款流量。

Got you. Okay. That's helpful. I want to stay along those lines. So if we look at your cycle to date deposit beta is relatively low, and I know historically, Hawaii has been viewed as a market where you could pay lower rates on deposits just given the competitive dynamics of the market. We think about digital age, right, businesses, consumers could move money basically pretty easily on their phone. Is that historical view still accurate?

明白了好的。這很有幫助。我想堅持這些路線。因此，如果我們看看您迄今為止的周期存款貝塔值相對較低，而且我知道從歷史上看，鑑於市場的競爭動態，夏威夷一直被視為您可以支付較低存款利率的市場。我們考慮數字時代，對，企業，消費者基本上可以很容易地在他們的手機上轉移資金。那個歷史觀點現在還準確嗎？

Yes. So I think if you were to take a look at what we're projecting for through Q4, I think the total deposit beta is around 10%, and then interest bearing about 18%. You compare that to the last cycle. I think what we saw in terms of cumulative beta was about 18% total deposits and about 29% in interest-bearing. We think the slope of the deposit repricing is about what we expected based on past cycles. I think, at this point, we're, as I said, expecting about a cumulative beta around 10% to 11% through year-end.

是的。所以我想如果你看一下我們對第四季度的預測，我認為總存款貝塔約為 10%，然後利息約為 18%。您將其與上一個週期進行比較。我認為我們在累積貝塔方面看到的是大約 18% 的總存款和大約 29% 的生息。我們認為存款重新定價的斜率大約是我們根據過去的周期所預期的。我認為，在這一點上，正如我所說，我們預計到年底累計貝塔係數約為 10% 至 11%。

And then I think what we're looking at going forward is we're trying to be thoughtful, align our pricing to the value proposition we have across the product sets. And I think if we're successful in doing that, we're going to minimize our funding costs through the cycle and maximize retention of those deposit customers.

然後我認為我們正在展望的是我們正在努力深思熟慮，使我們的定價與我們在整個產品集中的價值主張保持一致。而且我認為，如果我們成功做到這一點，我們將在整個週期中最大限度地降低融資成本，並最大限度地保留這些存款客戶。

And to add to that, Steve, your question specifically on mobile, that's something we pay a lot of attention to. In fact, Chris is with us today to answer any of the technology questions. But the -- as far as this specifically relates to ability to move money, that's something we watch very closely. We haven't seen that yet, but that's one of the reasons we continue to invest in technology and really the data and the analytics around our customers so that we can stay in front of that when it -- if it's not -- if it comes, is when it comes.

除此之外，史蒂夫，你的問題特別針對移動設備，這是我們非常關注的事情。事實上，克里斯今天和我們一起回答任何技術問題。但是——就這與轉移資金的能力具體相關而言，這是我們非常密切關注的事情。我們還沒有看到這一點，但這是我們繼續投資於技術以及圍繞客戶的數據和分析的原因之一，這樣我們就可以在它發生時——如果不是——如果它保持領先來，就是來的時候。

Right. Right. Okay. That's helpful. And then one final one for me. just looking at the C&I loan growth was really strong this quarter, even beyond the pickup in dealer. Can you give a little more color on why such strong growth this quarter there?

正確的。正確的。好的。這很有幫助。然後是我的最後一個。僅看本季度的 C&I 貸款增長就非常強勁，甚至超過了經銷商的回升。您能否詳細說明為什麼本季度增長如此強勁？

Yes. Maybe I'll start and ask Ralph to add comments. I mean, first, as you mentioned, dealer, in Q1, floor plan balances grew $9 million Q2, $43 million this quarter, $57 million. So we are really starting to see slower than maybe we would have anticipated a year ago. We are starting to see that build back on those balances. And we think that will continue. It's hard to predict exactly what it is.

是的。也許我會開始請拉爾夫添加評論。我的意思是，首先，正如你提到的，經銷商，在第一季度，平面圖餘額在第二季度增長了 900 萬美元，本季度為 4300 萬美元，5700 萬美元。所以我們真的開始看到比我們一年前預期的要慢。我們開始看到在這些平衡的基礎上重新建立起來。我們認為這將繼續下去。很難準確預測它是什麼。

So that's just staying there in the background, and my assumption is that we'll continue to see steady growth in that as 2023 unfolds, Q4 in 2023. And -- as far as the rest of the portfolio, we've just seen a lot of commercial real estate transactions, both here for fourth quarter and this past quarter on the mainland. So it's been a good market. We see that continuing through Q4. It's a little harder to see what Q1 and 2023 looks like.

所以這只是停留在幕後，我的假設是，隨著 2023 年的到來，即 2023 年第四季度，我們將繼續看到穩步增長。而且 - 就投資組合的其餘部分而言，我們剛剛看到很多商業房地產交易，無論是第四季度還是上個季度在大陸。所以這是一個很好的市場。我們看到這種情況會持續到第四季度。很難看出第一季度和 2023 年的情況。

But Ralph, comments you would add?

但是拉爾夫，你會添加評論嗎？

Yes. I mean the only thing I would say to add to that is we're starting to see spread widening, which is good, I think, and we're able to look at opportunities that I think are going to be pretty attractive in terms of putting it on the balance sheet, even with the rate environment that we're facing today.

是的。我的意思是我唯一要補充的是我們開始看到利差擴大，我認為這很好，而且我們能夠看到我認為在以下方面非常有吸引力的機會把它放在資產負債表上，即使是在我們今天面臨的利率環境下。

And our next question will come from David Feaster of Raymond James.

我們的下一個問題將來自 Raymond James 的 David Feaster。

Maybe just touching on the margin expansion. I appreciate the guidance, 10 to 15 basis points in this upcoming quarter. Just curious what rate hike assumptions are embedded in that? Is that assuming a 75 in the next two meetings?

也許只是觸及利潤率擴張。我很欣賞即將到來的這個季度的指導，10 到 15 個基點。只是好奇其中包含哪些加息假設？這是假設在接下來的兩次會議中得到 75 分嗎？

And then just, at a high level, how do you think about managing rate sensitivity? You're obviously very rate-sensitive naturally just given the nature and complexion of your loan and deposit portfolios. But I'm curious whether you're interested in maybe trying to lock some of that in at this point?

然後，在高層次上，您如何看待管理利率敏感性？考慮到您的貸款和存款組合的性質和情況，您顯然對利率非常敏感。但我很好奇你是否有興趣在此時嘗試鎖定其中的一些內容？

And how would you do that, whether it's longer-duration securities, more fixed rate lending or just curious how you think about that more broadly?

您將如何做到這一點，無論是期限較長的證券、更多的固定利率貸款，還是只是想知道您如何更廣泛地考慮這一點？

Yes. A couple of questions there. I'm going to punt to Ralph first and then do any cleanup afterwards. Ralph?

是的。那裡有幾個問題。我打算先下注給拉爾夫，然後再做任何清理工作。拉爾夫？

Okay. The assumption for Fed funds is, at the end of Q4 would be [4.50%] to kind of give you an idea of what we're modeling today. I guess the question you had on hedging, last quarter, we said that we were going to look at trying to become less asset sensitive, but we're going to do that over time. We weren't going to try to time the market.

好的。聯邦基金的假設是，在第四季度末將是 [4.50%]，讓您了解我們今天的模型。我猜你對沖的問題，上個季度，我們說我們將考慮嘗試降低資產敏感度，但我們會隨著時間的推移這樣做。我們不打算嘗試把握市場時機。

So we have started slowly a program to sort of address that. I think you see this quarter that we did about a $200 million swap. It actually was a collar that we put in place. So we'll do that in a very measured and programmic way. So I think what we want to do is be in a position, when rates do, at some point, trend back down being less asset sensitive than we were last cycle.

所以我們已經慢慢開始了一個計劃來解決這個問題。我想你會在本季度看到我們進行了大約 2 億美元的掉期交易。它實際上是我們放置的項圈。因此，我們將以一種非常謹慎和有計劃的方式來做到這一點。所以我認為我們想要做的是，當利率確實在某個時候回落，資產敏感性低於上一個週期時。

Okay. That makes sense. And then maybe just following up on the pipeline, I'm glad to hear that it's holding up well, primarily comprised of commercial loans in Hawaii and Guam. Just curious, how is demand trending and maybe the pulse and sentiment of your clients in Hawaii?

好的。那講得通。然後也許只是跟進管道，我很高興聽到它運行良好，主要包括夏威夷和關島的商業貸款。只是好奇，需求趨勢如何，也許您在夏威夷的客戶的脈搏和情緒如何？

And then I guess if we had to think about your growth, if we were going to sustain this mid- to high single-digit kind of pace, would you expect it to be more of a function of continued stronger originations or maybe slower payoffs and pay downs, I guess, maybe probably a combination thereof. But I'm just curious how you think about those two dynamics as you think about your loan growth rate.

然後我想如果我們不得不考慮你的增長，如果我們要維持這種中高個位數的速度，你會認為它更多地是由於持續更強大的起源或可能更慢的回報和我想，可能是兩者的結合。但我很好奇你在考慮貸款增長率時如何看待這兩種動態。

Yes. Let me start. And as far as we're looking forward, we think there's clearly -- for the residential portfolio payoffs will come to -- only if someone moves. Nobody is going to be refinancing anytime soon, and we've seen a real slowdown in that origination much like the rest of the country.

是的。讓我開始吧。就我們的展望而言，我們認為只有當有人搬家時，住宅投資組合的回報才會明確。沒有人會在短期內進行再融資，而且我們已經看到這種起源的真正放緩，就像該國其他地區一樣。

So where we're really seeing the loan growth is in the commercial side of it. As far as sentiment of the customers, it's still pretty bullish. As I mentioned in my opening remarks, even though arrivals is down, we're still seeing really strong growth in spend by visitors, and that has not slowed down.

因此，我們真正看到貸款增長的地方在於它的商業方面。就客戶的情緒而言，它仍然非常樂觀。正如我在開場白中提到的那樣，儘管入境人數有所下降，但我們仍然看到遊客消費的強勁增長，而且這種增長並未放緩。

We're cognizant of the demand. The people from Japan are going to be a little bit slow to come back given the yen-dollar exchange rate, but that will come back over time and that will only add to a very strong Westbound Traveler that we've seen really throughout the entire pandemic once we really started to open back up.

我們了解需求。考慮到日元兌美元的匯率，日本人回來的速度會有點慢，但這會隨著時間的推移而回來，這只會增加我們在整個過程中真正看到的非常強大的西行旅行者一旦我們真正開始重新開放，就會大流行。

Ralph, comments you would add to that?

拉爾夫，你會添加評論嗎？

Yes. I think, right now, there's concern, but not a ton of change. I think there's a pretty big condo project coming to market today. So we'll sort of see what's happening with regard to buyer demand in the residential space. But certainly, it's -- given the situation with rates, I think it's something that we're keeping track of, and we're trying to balance sort of opportunity against risk.

是的。我認為，現在有一些擔憂，但變化不大。我認為今天有一個相當大的公寓項目上市。因此，我們將看看住宅空間買家需求方面的情況。但可以肯定的是，鑑於利率情況，我認為這是我們正在跟踪的事情，我們正在努力平衡某種機會與風險。

And that's the perfect segue. I wanted to touch on asset quality. I mean when we talked last quarter, I think you kind of had -- you talked about maintaining a degree of caution just given the environment, and you've got a really good pulse on the market. I'm just curious, as you look at the Hawaiian economy, are there anywhere -- I mean, within your portfolio or even just from a competitive landscape that you're seeing that's causing you any concern?

這就是完美的轉場。我想談談資產質量。我的意思是，當我們上個季度談話時，我認為你有點 - 你談到了在環境下保持一定程度的謹慎，而且你對市場的把握非常好。我很好奇，當你觀察夏威夷經濟時，有沒有任何地方——我的意思是，在你的投資組合中，甚至只是從你看到的競爭格局中，這讓你感到擔憂？

And I guess, are you seeing higher rates? I mean, obviously, your portfolio is pristine at this point. But I'm just curious, are higher rates starting to impact cap rates at all? And just any other trends maybe from an industry or competitive landscape that you think might be helpful or worth pointing out?

我想，你看到更高的利率了嗎？我的意思是，很明顯，此時您的投資組合是原始的。但我很好奇，更高的利率是否開始影響資本化率？您認為可能有幫助或值得指出的來自行業或競爭格局的任何其他趨勢？

Sure. Let me start on the consumer, and I'll pass over to Ralph on more rates affecting commercial real estate. But on the consumer, we're still seeing very strong performance across all those portfolios. A little bit of normalization I would say, on the card side and a little bit indirect. But that's where we always see that. It was better than normal during COVID, and I think we're returning more to a normalized environment.

當然。讓我從消費者開始，我會把更多影響商業地產的利率交給拉爾夫。但在消費者方面，我們仍然看到所有這些投資組合的表現非常強勁。我想說的是，在卡片方面有一點標準化，有點間接。但這就是我們總是看到的地方。在 COVID 期間比平時要好，我認為我們更多地回到了正常化的環境中。

Where that will go with inflation being what it is as the months unfold? We'll have to wait and see. But right now, it's still excellent. And we really haven't seen any signs of weakness in that. We do have some concerns about interest rates impacting real estate projects.

隨著幾個月的展開，通貨膨脹將走向何方？我們將不得不拭目以待。但是現在，它仍然非常出色。我們真的沒有看到任何疲軟的跡象。我們確實擔心利率會影響房地產項目。

And maybe I'll turn it over to Ralph for a comment on that.

也許我會把它交給拉爾夫徵求意見。

Yes. I'll. Probably add to you, David, kind of first sort of talking to what do we anticipate for cap rates. We're not really sure what to anticipate other than I think if you look back historically, there's usually a pretty strong correlation between rates and cap rates. I think, this time, with the amount of inflation in the market, I think that's probably something that we'll have to sort of see.

是的。患病的。戴維，可能會首先與您談談我們對資本化率的預期。除了我認為如果你回顧歷史，我們真的不確定會發生什麼，利率和資本化率之間通常有很強的相關性。我認為，這一次，隨著市場通貨膨脹的程度，我認為這可能是我們必須看到的。

But then speaking more to sort of our underwriting, I would say that we're a cash flow lender. So cash flow has been pretty much the constraint that we've had in terms of lending in the real estate market, not so much LTVs. You'll see, I think, across like most banks portfolios today that the LTV ratios are pretty low, primarily because of the fact that people are really lending against cash flow.

但然後更多地談到我們的承銷，我會說我們是現金流貸方。因此，現金流幾乎是我們在房地產市場貸款方面的製約因素，而不是 LTV。我認為，您會看到，與當今大多數銀行的投資組合一樣，LTV 比率非常低，這主要是因為人們實際上是在根據現金流量放貸。

From our perspective, we do stress our underwriting. So we stress interest rates, we stress occupancies. I think that kind of an exercise helps us kind of understand where we might be today. And I think what we're feeling good about is really sort of the fact that we're in great locations that tend to hold up pretty well in terms of values. Sponsorship in our portfolio has been pretty strong. And I think, during COVID, there was really strong indication, especially with some of the hotel owners how they sort of managed through a period of like complete disruption.

從我們的角度來看，我們確實強調我們的承保。所以我們強調利率，我們強調入住率。我認為這種練習可以幫助我們了解我們今天的處境。而且我認為我們感覺良好的事實確實是這樣一個事實，即我們所處的位置往往在價值觀方面保持得很好。我們投資組合中的讚助商一直非常強大。而且我認為，在 COVID 期間，有非常強烈的跡象，尤其是一些酒店業主，他們是如何度過一段類似完全中斷的時期的。

So I think it's just something that we're going to pay attention to, but I think location, sponsorship, and I think the way that we underwrite in terms of being a cash flow lender, that gives us a lot of confidence in the portfolio as we move into 2023.

所以我認為這只是我們要關注的事情，但我認為位置、贊助，我認為我們作為現金流貸方的承保方式，讓我們對投資組合充滿信心隨著我們進入 2023 年。

And then how -- I mean, how do you think about the reserve going forward? I mean just curious whether you would expect just given potential for weaker CECL inputs, just curious how you think about the reserve as it plays into some of those comments?

然後 - 我的意思是，你如何看待儲備金的發展？我的意思是只是好奇您是否會期望 CECL 輸入較弱的潛力，只是好奇您如何看待這些評論中的儲備？

So I would say that the reserve is -- right now is -- contemplates a recession in 2023. So it was -- initially, it was built up because of COVID, and COVID sort of kind of went away and then some of these other macroeconomic conditions started to come into place.

所以我想說儲備是——現在是——考慮到 2023 年的經濟衰退。所以它是——最初，它是因為 COVID 而建立的，而 COVID 有點消失了，然後其他一些宏觀經濟條件開始出現。

So if we look at it, we sort of impute like a 1-year loss rate against the portfolio. We're looking at sort of absorbing losses that would be indicative to what we saw at sort of our peak losses last cycle. So it's a healthy reserve. And it's certainly, I think, appropriate for what we see today in the marketplace and what we sort of projected out over the next -- kind of the next 12 months.

因此，如果我們看一下，我們就會對投資組合估算 1 年的損失率。我們正在研究某種吸收損失，這將表明我們在上個週期的峰值損失中看到的情況。所以這是一個健康的儲備。我認為，這肯定適合我們今天在市場上看到的以及我們在接下來的未來 12 個月內的預測。

Yes. And then to add to that would be depending on loan growth is what we would look at the appropriate level for the reserve, to add to it.

是的。然後添加到這將取決於貸款增長是我們將看到的準備金的適當水平，添加到它。

Yes. And as I had mentioned in the comments, we saw loan growth. Typically, that would have probably caused us to have a higher provision this quarter. But -- we had a lot of improvement in terms of the overall risk profile of the portfolio so.

是的。正如我在評論中提到的，我們看到了貸款增長。通常，這可能會導致我們在本季度有更高的準備金。但是——我們在投資組合的整體風險狀況方面有了很大的改善。

And our next question will come from Andrew -- I'm sorry, Andrew Liesch of Piper Sandler.

我們的下一個問題將來自 Andrew——對不起，Piper Sandler 的 Andrew Liesch。

So a question on the expense outlook from here. I think in the past, you mentioned a more normalized expense growth rate would be 4% to 5%. Is that how we should be looking at it from here if we just sort of annualize this $113 million to $114 million and then build off that. Is that the best way to look at it?

所以這裡有一個關於費用前景的問題。我想在過去，你提到更正常化的費用增長率是 4% 到 5%。如果我們只是將這 1.13 億美元年化為 1.14 億美元，然後以此為基礎，那麼我們應該如何從這裡看待它。這是看待它的最佳方式嗎？

Andrew, this is Bob. Maybe I'll start off and hand it to Ralph. No, we're really looking at dollars, and that's why we try to give the guidance of $113 million to $114 million for the quarter, which we're still very comfortable with for Q4. We came in very close to that, right on top of that in Q3. So that's how we're really looking at it. As far as beyond that, we're going through the budgeting process now, so don't really have a view to 2023.

安德魯，這是鮑勃。也許我會開始並把它交給拉爾夫。不，我們真的在看美元，這就是為什麼我們試圖給出本季度 1.13 億美元至 1.14 億美元的指導，我們對第四季度仍然非常滿意。我們非常接近這一點，就在第三季度的最高點。這就是我們真正看待它的方式。除此之外，我們現在正在進行預算編制過程，所以對 2023 年並沒有真正的看法。

There are still some moving parts. As we get through kind of the end of the core conversion and some of the consultants have -- certainly, most of them have gone and we finished the need for their services. There's still a little bit that's going on in Q4, but there's a lot of puts and takes in that side of it. But we're comfortable with the $113 million to $114 million number for this quarter.

仍然有一些活動部件。當我們完成核心轉換的某種結束時，一些顧問已經 - 當然，他們中的大多數人已經離開，我們完成了對他們服務的需求。第四季度還有一些事情在發生，但在這方面有很多投入和投入。但我們對本季度 1.13 億美元至 1.14 億美元的數字感到滿意。

Ralph, anything you would add to that?

拉爾夫，你還有什麼要補充的嗎？

No. I think, to Bob's point, we're going to have a little bit expense this quarter that related to kind of the cure period and the conversion that will go away. And then going into the next year, we'll probably have some inflation-related increases. But I think at this point, we're still working through the budget, and we haven't really sort of projected out for a 2023 expense growth rate.

不，我認為，就 Bob 的觀點而言，本季度我們將有一些費用與治療期和將消失的轉換有關。然後進入明年，我們可能會出現一些與通貨膨脹相關的增長。但我認為在這一點上，我們仍在製定預算，我們還沒有真正預測 2023 年的支出增長率。

Got you. All right. That's helpful. And then on the fee side, if I just ignore the BOLI issue, the nice increase in fee income. How are -- how do you think that's going to trends here in the fourth quarter with maybe some holiday travel and increasing transactions? Do you think it's going to have another nice step up here in the fourth quarter?

明白了好的。這很有幫助。然後在費用方面，如果我忽略 BOLI 問題，費用收入會增加。怎麼樣 - 你認為第四季度的趨勢如何，可能會有一些假期旅行和交易增加？您認為它會在第四季度再次取得不錯的進步嗎？

Generally, the activity-related things for cards and merchant processing, we do see a nice uptick in Q4. Historically, that's what we've seen. And if we have good visitor numbers, which still really kind of driven by the Thanksgiving through year-end Christmas period. So a little hard to see right now. But, historically, we've always seen a pick up in those kind of activity revenue lines in the fourth quarter.

一般來說，與卡片和商戶處理相關的活動，我們確實看到第四季度出現了不錯的增長。從歷史上看，這就是我們所看到的。如果我們有很好的訪客數量，這仍然是感恩節到年底聖誕節期間的推動因素。所以現在有點難看。但是，從歷史上看，我們總是看到第四季度這類活動收入有所回升。

Yes. And I think on the wealth side, we've seen some challenges with equity accounts, but we've seen a lot of good performance in terms of money market accounts now we're getting fee income off of. So that's where we're sort of seeing the kind of net increase in that area.

是的。我認為在財富方面，我們看到了股票賬戶的一些挑戰，但我們在貨幣市場賬戶方面看到了很多良好的表現，現在我們正在減少費用收入。所以這就是我們看到該領域淨增長的地方。

Our next question will come from Kelly Motta of KBW.

我們的下一個問題將來自 KBW 的 Kelly Motta。

Thanks so much for the question, for all the color today. I was just wondering, I don't think it's been mentioned on the call yet today. If there is any update on the CFO search has been ongoing this year and perhaps timing of that?

非常感謝這個問題，今天所有的顏色。我只是想知道，我認為今天的電話會議上還沒有提到它。今年是否有任何關於首席財務官搜索的更新，也許是時間安排？

Thank you, Kelly. This is Bob. No -- thanks for the question. We were close to a candidate. It didn't work out for them and their families. So we're still working on that, and we hope to bring that to a conclusion very soon.

謝謝你，凱利。這是鮑勃。不——謝謝你的提問。我們接近了一位候選人。這對他們和他們的家人來說沒有用。所以我們仍在努力，我們希望盡快得出結論。

Got it. Well, I can't imagine Hawaii is too hard of a sell.

知道了。好吧，我無法想像夏威夷太難賣了。

It works for all of us so...

它適用於我們所有人，所以...

Maybe looking at capital and capital return, your CET1 ratios are still super healthy. I noticed you moved another portion to HTM. Just wondering how you thinking about buyback? If there's any changes to how you may be a bottom of where you're willing for (inaudible) to go? And if continued interest rate volatility factors into your outlook for repurchases at all?

也許看看資本和資本回報，你的 CET1 比率仍然非常健康。我注意到您將另一部分移到了 HTM。只是想知道您如何考慮回購？如果您可能成為您願意（聽不清）去的地方的底部，是否有任何變化？如果持續的利率波動因素會影響您的回購前景？

All right. Thank you, Kelly. It's -- maybe I will start. Relative to common equity Tier 1, our goal is still -- our guideline is 12%. We're under that primarily due to strong loan growth. As you saw, we didn't repurchase a lot of shares in Q3. And I think that will still be relatively nominal as we work to build back that common equity Tier 1 to our 12% guidelines. So we expect that to happen over this quarter and maybe into next quarter. We still have authority to repurchase shares. We could be opportunistic about that. And we'll look to continue looking at that in next year as well. But right now, we're still working towards that guide of the 12%.

好的。謝謝你，凱利。這是——也許我會開始。相對於一級普通股，我們的目標仍然是——我們的指導方針是 12%。我們主要是由於強勁的貸款增長。如您所見，我們在第三季度沒有回購很多股票。而且我認為，隨著我們努力將普通股一級股本恢復到我們 12% 的指導方針，這仍然是相對名義上的。所以我們預計這會在本季度甚至下個季度發生。我們仍然有權回購股票。我們可能會對此投機取巧。我們也將在明年繼續關注這一點。但現在，我們仍在朝著 12% 的指南努力。

Got it. That's helpful. And then just a minor point on yields. I just -- I noticed that your resi mortgage yields came down. I understand there wasn't a ton growth there, but just wondering -- it was surprising to see if the yields come down a little bit. Were there any specials who are running or anything unusual with prepay use or anything like that, that we're doing those trends?

知道了。這很有幫助。然後只是關於收益率的一個小問題。我只是——我注意到你的 resi 抵押貸款收益率下降了。我知道那裡沒有大量增長，但只是想知道——看到收益率是否有所下降是令人驚訝的。是否有任何特價商品正在運行或預付費使用有任何異常或類似的東西，我們正在做這些趨勢？

We did have a small -- this is Ralph. We did have a project that closed out -- a couple of projects that closed out this quarter that we had actually made some commitments on. So I think the yield on the production this quarter was a bit lower.

我們確實有一個小的——這是拉爾夫。我們確實有一個項目結束了——本季度有幾個項目結束了，我們實際上已經做出了一些承諾。所以我認為本季度的生產收益率有點低。

Our next question comes from Timur Braziler of Wells Fargo.

我們的下一個問題來自富國銀行的 Timur Brazier。

Maybe starting on the loan growth that you're seeing on the mainland. I'm just wondering, is that primarily shared national credits? And then for the commercial real estate portfolio, which industries are really driving that strong loan growth?

也許從您在大陸看到的貸款增長開始。我只是想知道，這主要是共享國家信用嗎？然後對於商業房地產投資組合，哪些行業真正推動了強勁的貸款增長？

Yes. The part of that is the dealer floor plan because we have that both here and in the mainland. So some of that growth you're seeing is dealer floor plan. And in our dealer book, most of that is nonshared national credit, but there are a couple that are larger and more syndicated deals. So I don't know the breakdown of that specifically. We're also doing commercial real estate loans, and many of those are shared national credits, but not all. And that tends to be more in the multifamily.

是的。其中一部分是經銷商平面圖，因為我們在這里和大陸都有。所以你看到的一些增長是經銷商平面圖。在我們的經銷商賬簿中，大部分是非共享的國家信貸，但也有一些規模更大、聯合交易更多。所以我不知道具體的細分。我們也在做商業房地產貸款，其中很多是共享的國家信用，但不是全部。這往往更多地發生在多戶家庭中。

But, Ralph, do you have more of a breakdown on that?

但是，拉爾夫，你對此有更多的了解嗎？

No. With regard to this, in the CRE book, it was a combination of some dealer related assets owner occupied. And then pretty much multifamily and some industrial.

不是。關於這個，在CRE賬簿上，是一些經銷商相關資產所有者佔用的組合。然後幾乎是多戶住宅和一些工業住宅。

Got it. And as you're thinking about funding future loan growth, I understand your commentary about the deposit base, and there's still being a little bit of uncertainty there. Should we expect that, at least in the near term, majority of the loan growth is going to be funded through the bond book still?

知道了。當你考慮為未來的貸款增長提供資金時，我理解你對存款基礎的評論，那裡仍然存在一些不確定性。我們是否應該預計，至少在短期內，大部分貸款增長仍將通過債券簿提供資金？

And I'm just wondering what's your appetite is for maybe layering in some more time deposits? I know is those things ease this quarter and just maybe talk about the market for time deposits on Hawaii.

而且我只是想知道您對更多定期存款的胃口是什麼？我知道這些事情在本季度有所緩解，也許只是談論夏威夷的定期存款市場。

Yes. As we look at the investment portfolio, that's going to be our primary funding source for loan growth. There might be some timing differences in there depending on loan funding versus maturity or cash flows coming off the investment portfolio. So there might be some of the public time deposits or other methods we might use to kind of bridge that, but that's what we'd primarily be looking at.

是的。當我們審視投資組合時，這將是我們貸款增長的主要資金來源。根據貸款資金與到期日或來自投資組合的現金流量，可能存在一些時間差異。因此，我們可能會使用一些公共定期存款或其他方法來彌補這一點，但這正是我們主要關注的。

Okay. And then for those public time deposits, what type of sensitivity do they have to interest rates? Is that pretty much 1 for 1 with what's going on at the Fed? Or is there some sort of discount to that?

好的。那麼對於那些公共定期存款，它們對利率有什麼樣的敏感性？美聯儲正在發生的事情幾乎是一對一嗎？或者有什麼折扣嗎？

It's a pretty strong correlation.

這是一個非常強的相關性。

Okay. Got it. And then maybe last for me, just going back to the asset quality conversation and conversation about the allowance level. I just want to make sure I'm hearing this correctly. It sounds like we're close to a bottom on the allowance to loan ratio and incremental loan growth is going to be funded for? Or is there still a possibility of this dynamic that broader credit trends within the portfolio improve, and you can actually see allowance for loan ratio continue to decline kind of -- irregardless of near-term loan growth?

好的。知道了。然後對我來說可能是最後一次，回到資產質量對話和關於配額水平的對話。我只是想確保我沒有聽錯。聽起來我們的準備金與貸款比率接近底部，增量貸款增長將獲得資金支持？或者這種動態是否仍然存在投資組合中更廣泛的信貸趨勢改善的可能性，並且您實際上可以看到貸款準備金率繼續下降 - 無論近期貸款增長如何？

We still have some qualitative element within the loan loss reserve. So that's a part that will just have to be more -- just have to keep our eye on what's happening now in the market and the economy and adjust to that. But other than that, I would think there would be some correlation between loan growth and provision. Ralph?

我們在貸款損失準備金中仍有一些定性因素。因此，這是一個必須更多的部分——我們必須密切關注市場和經濟中正在發生的事情，並做出調整。但除此之外，我認為貸款增長和準備金之間會有一些相關性。拉爾夫？

Yes. I would think it'd be a pretty strong correlation at this point just given where we're at and what we sort of see out into the future.

是的。考慮到我們所處的位置以及我們對未來的展望，我認為在這一點上這將是一個非常強的相關性。

Our next question will come from Christopher Larmoyeux of [Goldman Sachs].

我們的下一個問題將來自 [Goldman Sachs] 的 Christopher Larmoyeux。

So with core conversion done, I think some resources might have been freed up. Can you talk about what the road map and focus (inaudible) now regarding to take that going forward?

因此，隨著核心轉換的完成，我認為一些資源可能已經被釋放了。你能談談現在關於推進這一進程的路線圖和重點（聽不清）嗎？

I'm sorry, Christian, we weren't able to hear the question. Would you mind repeating it?

抱歉，克里斯蒂安，我們沒能聽到這個問題。你介意重複一遍嗎？

With core conversion done, I imagine some resources have been freed up. So can you talk about what the road map is and focus is going forward from here regarding investment spend into the business?

完成核心轉換後，我想可以釋放一些資源。那麼你能談談路線圖是什麼，以及從這裡開始對業務投資支出的重點是什麼？

Chris, why don't you handle that first, please.

克里斯，你為什麼不先處理一下呢？

Sorry, I have a little bit of the cold. This is Chris Dods. With the core conversion, we took a very deliberate approach to open banking architecture modern API architecture and that's really opened up our ability to differentiate our new product services and get a differentiated value proposition.

對不起，我有點感冒。我是克里斯·道茲。通過核心轉換，我們採取了一種非常慎重的方法來開放銀行體系結構現代 API 體系結構，這真正開啟了我們區分新產品服務和獲得差異化價值主張的能力。

Recently, we launched a new credit card Priority Unlimited, which we built a custom integration using our software developers and integrated several different platforms to create a more integrated acquisition fulfillment platform over the last couple of months since the launch, [we're hoping up 2000] of those cards.

最近，我們推出了一款新的信用卡 Priority Unlimited，我們使用我們的軟件開發人員構建了自定義集成，並集成了幾個不同的平台，以在推出後的最後幾個月創建一個更加集成的收購實現平台，[我們希望2000] 這些卡片。

In addition to that, we're building out a robust 360 view of our customer using both in more traditional dealer architecture combined with machine learning, which is giving us a real time dealer capture and ability to do real-time analytics to help our bankers assist our customers with more actionable and personalized in sites.

除此之外，我們正在構建一個強大的 360 度客戶視圖，同時使用更傳統的經銷商架構並結合機器學習，這使我們能夠實時捕獲經銷商並能夠進行實時分析以幫助我們的銀行家協助我們的客戶在網站上更具可操作性和個性化。

And then going forward, we're looking at -- we're in the process of upgrading our online banking platform for all of our consumer and small business customers. At the end of that conversion, we will be on the same -- we will have -- we will be on the same platform for our commercial small business, business and consumer customers, each of them having their own emphasis of the platform, but being on the same platform, which will provide more efficiencies from the back office and a better customer experience overall. And then we'll continue to leverage AI and the machine learning within the different aspects of the business place underwriting to help drive better and faster decisioning.

然後展望未來，我們正在考慮 - 我們正在為所有消費者和小型企業客戶升級我們的在線銀行平台。在轉換結束時，我們將在同一個平台上——我們將擁有——我們將在同一個平台上為我們的商業小企業、企業和消費者客戶提供服務，他們每個人都有自己的平台重點，但是在同一個平台上，這將提供更高的後台效率和更好的整體客戶體驗。然後我們將繼續在業務場所承保的不同方面利用人工智能和機器學習來幫助推動更好更快的決策。

And then just to add to that, Christian. As we look at that pretty robust road map, and from a cost perspective and bringing back down to that, we're going to be doing that in really a thoughtful way to not overspend in any one period, but there's a lot on our plate, and that's what the customers want. They want that functionality, and we need to evolve.

然後再補充一點，克里斯蒂安。當我們審視那個相當穩健的路線圖時，從成本的角度來看並回到那個角度，我們將以一種真正深思熟慮的方式來做這件事，以免在任何一個時期超支，但我們有很多事情要做，這就是客戶想要的。他們想要這種功能，而我們需要發展。

So there will be that continued investment in the business to make that happen. And we're going through that budgeting process now for 2023. So we don't really have a view on it today, but that will be part of our budgeting process for next year.

因此，將繼續對該業務進行投資以實現這一目標。我們現在正在為 2023 年制定預算流程。因此，我們今天對此並沒有真正的看法，但這將成為我們明年預算流程的一部分。

(Operator Instructions) And our next question come from Laurie Hunsicker of Compass Point Research & Trading.

（操作員說明）我們的下一個問題來自 Compass Point Research & Trading 的 Laurie Hunsicker。

Just hoping that if we could go back to credit, which is looking absolutely stellar. But just specifically, the charge-offs, they all seem to be coming from consumer. Can you give us a little color around that? Is that auto? Is that unsecured consumer? Just any color around that, what you're seeing?

只是希望如果我們能回到信用狀態，那看起來絕對是一流的。但具體來說，沖銷似乎都來自消費者。你能給我們一些顏色嗎？那是汽車嗎？那是沒有安全感的消費者嗎？只是周圍的任何顏色，你看到了什麼？

It's primarily unsecured consumer. I mean, the rates were still pretty low. We're below where we were last year and half of what we were in 2019.

它主要是不安全的消費者。我的意思是，利率仍然很低。我們低於去年的水平，是 2019 年的一半。

And is that coming from Hawaii? Or is that -- I'm sorry, go ahead.

那是來自夏威夷嗎？或者是——對不起，請繼續。

Sorry. This is Bob. We only do that within our footprint, Hawaii and Guam. So it's going to be primarily Hawaii. I don't have the breakdown between Hawaii and Guam, but it's going to be primarily Hawaii. And that's what referring to earlier is kind of a normalization back to what we've seen, to Ralph's point, is certainly lower than last year and lower than pre-pandemic, but might be up a little bit from quarter-over-quarter.

對不起。這是鮑勃。我們只在我們的足跡、夏威夷和關島內這樣做。所以這將主要是夏威夷。我沒有夏威夷和關島之間的細分，但主要是夏威夷。這就是之前提到的那種正常化，回到我們所看到的，拉爾夫的觀點，肯定低於去年和大流行前，但可能比季度環比略有上升。

Got it. Okay. Got it. And then on the income statement side, noninterest income just sort of two items. Could you comment a little bit about when you all might become more customer-friendly, how we should think about a drop in NSF/OD fees when that might start? And then also the other, other line, that [$2.384] million, and it jumps around, was there any onetime items in that line or onetime losses?

知道了。好的。知道了。然後在損益表方面，非利息收入只是兩個項目。您能否評論一下你們什麼時候可以變得更加對客戶友好，我們應該如何考慮 NSF/OD 費用的下降，當這可能開始時？然後還有另一條線，即 [238.4 萬美元]，它跳來跳去，那條線中是否有任何一次性項目或一次性損失？

Sure, Laurie, this is Bob. I'll cover the NSF question. So we -- as we've talked about, I think, previously, going through the core conversion, really, that was our priority to get that done. And we continue to look at what's happening in the marketplace and how we can make sure that the services we're offering are value add to the customer.

當然，勞裡，這是鮑勃。我將介紹 NSF 問題。所以我們 - 正如我們之前所討論的那樣，我認為，通過核心轉換，真的，這是我們完成這項工作的首要任務。我們將繼續關注市場上正在發生的事情，以及我們如何確保我們提供的服務能夠為客戶增值。

We are looking at new different ways to serve them that incorporate different ways to approach overdraft payments, but part of that is driven by what the core providers can provide to us as far as technology solutions. So we're looking at that. We haven't made any decisions yet, but that's something we certainly keep front of mind.

我們正在尋找新的不同方式來為他們提供服務，這些方式結合了處理透支付款的不同方式，但其中一部分是由核心提供商可以為我們提供的技術解決方案所驅動的。所以我們正在研究。我們還沒有做出任何決定，但這肯定是我們放在首位的事情。

Ralph, do you want to touch on the other?

拉爾夫，你想談談另一個嗎？

Yes. So the big delta there, Laurie, was we had an airlines excise tax refund that we took in the prior quarter. So that was really sort of the delta.

是的。所以勞裡，那裡的大三角洲是我們在上一季度獲得的航空公司消費稅退稅。所以這真的有點像三角洲。

Got it. Got it. Okay. And then last quick one. On tax rate, how should we think about that for next year?

知道了。知道了。好的。然後是最後一個。關於稅率，我們應該如何考慮明年的稅率？

Yes. Not a lot of change. We're looking at about 25%.

是的。變化不大。我們正在尋找大約 25%。

Now I'm showing no further questions. I would now like to turn the conference back to Kevin Haseyama for closing remarks.

現在我不再提出任何問題。我現在想把會議轉回 Kevin Haseyama 作閉幕詞。

We appreciate your interest in First Hawaiian, and please feel free to contact me if you have any additional questions. Thanks again for joining us and have a good day. Bye.

感謝您對 First Hawaiian 的關注，如果您有任何其他問題，請隨時與我聯繫。再次感謝您加入我們，祝您有美好的一天。再見。

And this concludes today's conference. Thank you for participating. You may now disconnect.

今天的會議到此結束。感謝您的參與。您現在可以斷開連接。